Technology · India Bureau
Indian consumer internet firms poised for strong Q2 growth amid margin gains
Quick commerce and food delivery platforms are expected to deliver robust revenue expansion in the second quarter of FY27, though profitability trajectories remain mixed across the sector. Social commerce and edtech players are meanwhile anticipated to achieve meaningful margin improvements.
LSN India ·
India's consumer internet majors are set to report healthy top-line growth in the October-December quarter, driven by sustained momentum in quick commerce and food delivery segments, according to sector analysts tracking quarterly performance trends.
Quick commerce leader Blinkit is expected to post strong revenue expansion, capitalising on rising urban demand for rapid delivery services. Food delivery platforms are similarly positioned to report robust growth, though competitive dynamics continue to shape profitability calculations across the logistics-dependent vertical.
However, growth trajectories remain uneven. Instamart, the quick commerce arm of SoftBank-backed Flipkart, is anticipated to see losses widen as it invests aggressively to compete in an increasingly crowded marketplace. The competitive intensity in quick commerce is pushing several players to prioritise market share expansion over near-term profitability.
In a contrasting narrative, social commerce platform Meesho and edtech player PhysicsWallah are expected to demonstrate meaningful progress on margins during the quarter. Both platforms have been focusing on operational efficiency and unit economics, signalling a sector-wide shift toward sustainable business models beyond pure growth metrics.
The divergent performance across consumer internet segments reflects varying stages of market maturity and distinct strategic priorities among India's digital commerce ecosystem players.